Reviewing uniQure (NASDAQ:QURE) and Foghorn Therapeutics (NASDAQ:FHTX)

Foghorn Therapeutics (NASDAQ:FHTX) and uniQure (NASDAQ:QURE) are both healthcare companies, but which is the superior business? We will compare the two businesses based on the strength of their valuation, earnings, risk, analyst recommendations, dividends, institutional ownership and profitability.

Profitability

This table compares Foghorn Therapeutics and uniQure’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Foghorn Therapeutics	-175.78%	N/A	-31.17%
uniQure	-1,350.73%	-111.96%	-29.01%

Risk and Volatility

Foghorn Therapeutics has a beta of 2.86, meaning that its stock price is 186% more volatile than the S&P 500. Comparatively, uniQure has a beta of 0.94, meaning that its stock price is 6% less volatile than the S&P 500.

Valuation and Earnings

This table compares Foghorn Therapeutics and uniQure”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Foghorn Therapeutics	$30.91 million	9.45	-$74.28 million	($0.98)	-5.02
uniQure	$16.10 million	191.74	-$198.97 million	($4.01)	-11.10

Foghorn Therapeutics has higher revenue and earnings than uniQure. uniQure is trading at a lower price-to-earnings ratio than Foghorn Therapeutics, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of recent ratings for Foghorn Therapeutics and uniQure, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Foghorn Therapeutics	1	0	6	1	2.88
uniQure	1	2	14	0	2.76

Foghorn Therapeutics currently has a consensus target price of $11.43, indicating a potential upside of 132.29%. uniQure has a consensus target price of $65.00, indicating a potential upside of 46.07%. Given Foghorn Therapeutics’ stronger consensus rating and higher probable upside, analysts plainly believe Foghorn Therapeutics is more favorable than uniQure.

Insider and Institutional Ownership

61.5% of Foghorn Therapeutics shares are held by institutional investors. Comparatively, 78.8% of uniQure shares are held by institutional investors. 9.0% of Foghorn Therapeutics shares are held by insiders. Comparatively, 4.7% of uniQure shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Summary

Foghorn Therapeutics beats uniQure on 11 of the 15 factors compared between the two stocks.

About Foghorn Therapeutics

Foghorn Therapeutics Inc., a clinical-stage biopharmaceutical company, engages in the discovery and development of medicines targeting genetically determined dependencies within the chromatin regulatory system in the United States. The company uses its proprietary Gene Traffic Control platform to identify, validate, and potentially drug targets within the system. It develops FHD-286, a small molecule inhibitor of the enzymatic activity of BRG1 and BRM that is in phase I for the treatment of relapsed and/or refractory acute myeloid leukemia/myelodysplastic syndrome. The company is also developing therapies for mutant cancers, such as Non-Small Cell Lung, bladder, endometrial, colorectal, and melanoma cancers; and dependent cancers, including prostate cancer and diffuse large b-cell lymphoma. It has a research collaboration and license agreement with Merck Sharp & Dohme Corp. to discover and develop novel oncology therapeutics against a transcription factor target; and Eli Lilly and Company for developing FHD-909, a selective ATPase inhibitor of BRM. Foghorn Therapeutics Inc. was incorporated in 2015 and is headquartered in Cambridge, Massachusetts.

About uniQure

uniQure N.V. develops treatments for patients suffering from rare and other devastating diseases. It offers HEMGENIX that has completed Phase III HOPE-B pivotal trial for the treatment of hemophilia B. The company also develops AMT-130, a gene therapy that is in Phase I/II clinical study for the treatment of Huntington's disease. In addition, it is developing AMT-162, which is in preclinical trial for the treatment of superoxide dismutase 1- amyotrophic lateral sclerosis; AMT-260 that is in preclinical trial to treat temporal lobe epilepsy; AMT-191, which is in preclinical trial for the treatment of fabry disease; AMT-161 that is in preclinical trial to treat amyotrophic lateral sclerosis caused by mutations; AMT-240, which is in preclinical trial to for the treatment of autosomal dominant Alzheimer's disease; and AMT-210 that is in preclinical trial to treat Parkinson's disease. The company was founded in 1998 and is headquartered in Amsterdam, the Netherlands.